Karachi, December 10, 2015 (PPI-OT): The inordinate delay in announcement of much trumpeted Textile Package is further deteriorating the largest industrial sector of the country and biggest export earner; this was stated by acting Chairman (S.Z.) Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA), Arshad Aziz. In a statement he said that he current scenario is extremely worrying the precious foreign-exchange earning industries and the ever increasing cost of utilities and inputs is causing closure of many units across the country. He said that biggest foreign exchange earning sector of textiles that was touching almost 4 to 5 billion dollars before PPP regime is now, dwindling and fallen to less than two billion dollars during current fiscal year. He said that it’s a shame that countries like Bangladesh that import cotton yarn for Pakistan, has brought to its garments exports to over $15 billion.
Similarly some other competitors like Sri Lanka, Vietnam, India have increased their garments exports to even more than Bangladesh.
“Textile Package delaye has created further unemployment and closure of many units, which could not survive due to funds stuck up in refunds and no package announced to compete with the competitor countries which have given incentives to the exporters which has increased their export”, Arshad said adding that we were given GSP plus facility by the European Union but due to stuck up capital with the government to the tune of billions of rupees rendered us unable to exploit this opportunity. “Unfortunately we are unable to increase the exports nor able to sustain but in fact we have lost our market share to the competitors.
Many units, which could not survive due to stuck up funds in refunds and no package announced to compete with the rival countries which have given incentives to their exporters which has increased their export to a significant level.
Arshad has expressed his dismay over the repeated assurances and commitments made by the Minister of Finance Ishaque Dar who several times assured the exporters and trade representatives for release of funds but to no avail. He said that minister should not add further miseries of the exporters and release their head earned stuck up amounts in order to keep the wheel rolling.
For more information, contact:
Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA)
3rd Floor, Plot No. 57-C, 24th Commercial Street,
Phase II (Ext), DHA, Karachi, Pakistan